The Aussie Broadband Ltd (ASX: ABB) share price has a hit a new all-time high since listing on the ASX in October 2020. Shares are currently trading for the record price of $3.41 – up 3.96%. The S&P/ASX 200 Index (ASX: XJO) is 0.3% higher.
While the company hasn’t made any price-sensitive announcements in over a week, there has been several stories throughout its ASX existence that have pushed its shares higher.
Let’s take a closer look.
Company profile
Aussie Broadband Ltd is a telecommunications company. It provides NBN subscription plans and bundles to residential homes, small businesses, not-for-profits, corporate/enterprise and managed service providers. The company services all states and territories in Australia.
Since listing on the ASX in October 2020, its share price has lifted 75%. It is a competitor to major ASX players such as Telstra Corporation Ltd (ASX: TLS) and TPG Telecom Ltd (ASX: TPG).
Aussie Broadband share price is at record heights
In its most recent update, as Motley Fool has previously reported, Aussie Broadband said its revenue continued to grow strongly in the last quarter. It jumped 8% on the previous quarter to $100 million.
This was driven by a 7.4% or 27,790 quarter-on-quarter (QoQ) increase in overall broadband connections to 400,848. A 12% or 3,825 increase in business broadband connections is included in this figure. As well, the company said there was a 20% QoQ increase in mobile service plans to 22,454.
In its update, Aussie Broadband said it expects to achieve earnings before interest, tax, depreciation and amortisation (EBITDA) at the upper end of its guidance range of $17 million to $20 million. The Aussie Broadband share price increased over 3% on the day of the announcement.
Aussie Broadband share price snapshot
Year-to-date, the Aussie Broadband share price has increased 68.8%. It’s outperformed the ASX 200 by 56 percentage points in that time and the Telstra share price by about 41.5 percentage points.
Aussie Broadband has a market capitalisation of around $624 million.
The post Why the Aussie Broadband (ASX:ABB) share price just hit a new all-time high appeared first on The Motley Fool Australia.
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More reading
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- Why the Aussie Broadband (ASX:ABB) share price is charging higher today
Motley Fool contributor Marc Sidarous has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Aussie Broadband Limited. The Motley Fool Australia owns shares of and has recommended Telstra Corporation Limited. The Motley Fool Australia has recommended Aussie Broadband Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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